IKEA receives circular economy award

During the World Economic Forum annual meeting in Davos, Switzerland, IKEA was recognised for its efforts to incorporate circular principles across all the company’s operations in comparison to its multinational counterparts.

More specifically, IKEA was awarded the “Accenture Strategy Award for Circular Economy” which applauded the company’s efforts to implement circular design principles and adapt its supply chain to reduce environmental impact and increase re-usability.

Accenture Strategy is an international consultancy driving business innovation incorporating new technologies into their business models.

Partik Antoni, Deputy Country Manager and Head of Sustainability at IKEA India, commented: "In India, IKEA will take full responsibility at all levels to leave a positive footprint in everything we do, be it with supply chain, retail operations or in our product offer to create a more sustainable life at home”.

“We have started many initiatives towards energy efficiency, waste management, recycling and community participation for a more sustainable India”, he added.

To this end, he pointed out how when it comes to sourcing, IKEA India prioritises the sourcing of locally-produced sustainable raw materials such as bamboo, jute, banana fibres, sugarcane, and coconut- an initiative co-created with equally sustainability-driven producers.

For example, IKEA partners with suppliers to source 100 percent recycled plastic for its products.

Peter van der Poel, Managing Director, Range & Supply at Inter IKEA Group, said: “Transforming IKEA into a ‘circular’ business is one of our biggest ambitions and challenges for the future”.

“It’s about smarter use of resources and from the very beginning designing products so they can be repurposed, repaired, reused, resold or recycled in any other way. It requires an innovative mind-set, working together with many stakeholders”.

“We are only at the beginning. This prize is inspiring and indicates that we are on the right track.”, he concluded.

Meantime, IKEA UK is constructing its most sustainable UK store to date in Greenwich, which is set to be a landmark example of sustainability in stores playing a vital role in the retailer’s ambitious sustainability strategy.

The store will champion re-use and the circular economy in the store, by establishing a furniture take-back scheme and supporting customers to re-use, recycle and re-imagine the products they already own.

“Sustainability is at the heart of everything we do at IKEA. Not only will IKEA Greenwich be our most sustainable store in the country, we are also very excited that the new store will demonstrate our commitment to the circular economy”, Hege Saebjornsen, IKEA Sustainability Manager for the UK and IE, commented.